CNN reaches $5M settlement with US Navy veteran in defamation case News
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CNN reaches $5M settlement with US Navy veteran in defamation case

CNN reached a legal settlement with a security contractor on Friday after the Florida First District Court of Appeal ruled the network liable for defamation. The jury found CNN had defamed the US Navy veteran, Zachary Young, by suggesting he was charging “exorbitant prices” to evacuate people from Afghanistan during the US withdrawal in August 2021.

The Court of Appeal upheld the trial court’s decision, awarding Young and his company Nemex Enterprises $5 million in compensatory damages. After the verdict, the two parties settled the case but withheld the settlement details from the public.

“We remain proud of our journalists and are 100% committed to strong, fearless and fair-minded reporting at CNN, though we will of course take what useful lessons we can from this case,” a CNN spokesperson said.

Young filed a lawsuit against CNN for defamation and trade libel following a video segment that aired on November 11, 2021. The CNN report, aired on The Lead with Jake Tapper, stigmatized Young as an illegal profiteer who exploited “desperate Afghans”.

At trial, Young stated that corporations and charities covered Nemex’s expenses to assist at-risk Afghans during the chaotic US military withdrawal. He emphasized that he did not charge the Afghans, even actively discouraging them from contacting his firm.

On appeal, CNN contended that the language of the story was either opinion-based or ambiguous. They added that the company’s internal communications reflected “journalistic bravado”. It displayed a genuine belief in their reporting. However, the jurors determined that CNN published false statements with deliberate intent and actual malice, as they disregarded evidence showing that Young had never exploited any Afghans. Additionally, CNN did not reasonably try to verify the facts with Young. For instance, they gave him only two hours to revert without conducting sufficient basic checks.

After the verdict, Young spoke to BBC News, saying the lawsuit was about “holding CNN accountable.” He said his firm rescued 23 people in the aftermath of the US withdrawal from Afghanistan. However, regarding the judgment, Young’s business has collapsed and his consulting income has plummeted to $0 since CNN’s report.